The credit scores of 35-year-olds applying for a mortgage at Ulysses Mortgage As

Question

The credit scores of 35-year-olds applying for a mortgage at Ulysses Mortgage Associates are normally distributed with a mean of 560 and a standard deviation of 65.

(a) Find the credit score that defines the upper 15 percent. (Use Excel or Appendix C to calculate the z-value. Round your final answer to 2 decimal places.)

Credit score

(b) Fifty-five percent of the customers will have a credit score higher than what value? (Use Excel or Appendix C for calculation of z-value. Round your final answer to 2 decimal places.)

Credit score

(c) Within what range would the middle 60 percent of credit scores lie? (Use Excel or Appendix C for calculation of z-value. Round your final answer to 2 decimal places.) Range (two numbers)

Explanation / Answer

a) P( X>x) = 0.15

x = 1.0364*65+560

x = 627.37

b) P(X>x) = 0.55

x = -0.12566*65+560

x = 551.83

c) P(x1<X<x1=2) = 0.60

x1 = -0.8416*65+560

x1 = 505.29

x2 = 0.8416*65+560

x2 = 614.71

So, two numbers are 505.29 and 614.71

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